Stock news, analysis and financial results related to Frasers Commercial Trust. My stock analysis will provide the current dividend yield based on historical payout and current stock price.
Frasers Commercial Trust currently makes up 1.93% of my stock portfolio.
I am saying goodbye to Frasers Commercial Trust not because I am selling it. This is one REIT that has been paying me consistent dividends no matter whether the economy is good or bad. Frasers Commercial Trust has completed their Asset Enhancement Initiative last year and their assets should start to generate revenue for them this year.
Last year, Frasers Logistics and Industrial Trust and Frasers Commercial Trust announced their merger. If you are keen on the results of the annual general meeting, 98.61% are for the merger while 1.39% is against it.
The last day of trading for Frasers Commercial Trust is on 9th April 2020 and I have received my cash payout on Friday, 24th April 2020. If you are a Frasers Commercial Trust unitholder, you would have received
S$0.151 in cash for each unit; and
1.233 new Frasers Logistics and Industrial Trust units per Frasers Commercial Trust unit
Last month, the stock market had crashed due to the impact of COVID-19. Since then, the stock market has started its recovery when news of government from different countries started to provide stimulus budget to revive the economy. During the crisis, I have picked up OCBC Bank, Singtel, US Manulife REIT and added more of CapitaMall Trust when their stock prices fell. If you didn’t know, I am a dividend investor. Thus, I usually look out for stocks with attractive dividend yield that provides me with endless dividends many years ahead. The stock market crash has provided me with such an opportunity.
I will run the Stocks Café stock screener every month which gives me a list of stocks that fulfill my dividend criteria. I fall into the medium risk type of investor and thus I never looked at stocks with dividend yield more than 10%. Below are the criteria that I used to identify dividend stocks.
Current Yield (%) >= 5 and <= 10
Price / Earnings <=20
Price / Book <= 3
Market Capitalization >= 1B
Below are the top dividend yielding stocks as of 10th April 2020. I believe you will see some REITs that you have been eyeing for before the stock market had crashed. Even though the stock prices have started the recovery, the current yield is still attractive.
Name
Current Yield %
P/E
P/B
Market Cap
Mapletree NAC Trust
9.981
4.44
0.611
2.8B
OUE Commercial REIT
8.711
13.38
0.618
2B
Ascendas-iTrust
8.644
5.29
1.084
1.4B
DBS
7.837
7.65
0.998
48.7B
Frasers Logistics and Industrial Trust
7.568
9.05
0.974
2.1B
CapitaRetail China Trust
7.557
8.46
0.845
1.6B
Frasers Commercial Trust
7.385
7.91
0.794
1.2B
Suntec REIT
7.37
9.21
0.605
3.6B
CapitaMall Trust
7.125
8.89
0.798
6.2B
Ascendas REIT
7.038
17.7
1.29
10.1B
Yanlord Land
6.733
2.97
0.358
2B
ComfortDelgro
6.527
12.25
1.252
3.2B
Frasers Centrepoint Trust
6.275
9.41
0.87
2.2B
UOB
6.197
7.74
0.849
33.4B
SIA Engineering
6.18
10.44
1.29
2B
CapitaCommercial Trust
6.082
12.77
0.784
5.6B
SPH REIT
6.081
11.84
0.786
2.1B
TCIL HK$
6.044
17.2
0.329
3.7B
SATS
5.938
15.9
2.211
3.6B
OCBC Bank
5.922
7.91
0.863
39.4B
Jardine Cycle & Carriage
5.833
6.71
0.875
8.1B
Mapletree Commercial Trust
5.595
5.45
0.955
5.6B
Yangzijiang Ship Building
5.435
5.9
0.601
3.6B
Guocoland
5.385
5.72
0.374
1.4B
Olam International
5.208
9.01
0.852
4.6B
SPH
5.195
12.19
0.72
2.5B
Frasers Property
5.128
7.32
0.453
3.4B
Lonza
5.042
5.72
0.659
5.9B
Last, I just want to mention again that the above list is for reference only and we should do our homework before buying into the stock simply for the dividend yield.
The Federal Reserve announced that it will cut interest rates to zero as part of its emergency measure to protect the economy from the impact caused by the COVID-19 virus. I thought that this will give the stock market a boost but it didn’t. The stock market plunged further and this makes REITs certainly a lot cheaper at ridiculous prices I have never seen before.
Below are the stocks that I currently held in my stock portfolio. With the dip in stock prices, the current dividend yield had increased which makes certain REITs very attractive. Do expect further downside and do not expect recovery that soon. For long term dividend investors, this should not be much of an issue.
I will probably wait for the stock market to hold steady at current levels before deploying more tranches of my cash.
